Acts and Regulations

2014, c.100 - Arbitration Act

Section 7
Disposition versions

Full text
Stay of proceeding
7(1)If a party to an arbitration agreement commences a proceeding in respect of a matter to be submitted to arbitration under the agreement, the court in which the proceeding is commenced shall, on the motion of another party to the arbitration agreement, stay the proceeding.
7(2)Despite subsection (1), the court may refuse to stay the proceeding in any of the following cases:
(a) a party entered into the arbitration agreement while under a legal incapacity;
(b) the arbitration agreement is invalid;
(c) the subject matter of the dispute is not capable of being the subject of arbitration under New Brunswick law;
(d) the motion was brought with undue delay; or
(e) the matter is a proper one for default or summary judgment.
7(3)An arbitration of the dispute may be commenced and continued while the motion is before the court.
7(4)If the court refuses to stay the proceeding
(a) no arbitration of the dispute shall be commenced, and
(b) an arbitration that has been commenced shall not be continued, and anything done in connection with the arbitration before the court made its decision is without effect.
7(5)The court may stay the proceeding with respect to the matters dealt with in the arbitration agreement and allow it to continue with respect to other matters if it finds that
(a) the agreement deals with only some of the matters in respect of which the proceeding was commenced, and
(b) it is reasonable to separate the matters dealt with in the agreement from the other matters.
7(6)There is no appeal from the court’s decision.
1992, c.A-10.1, s.7